Startup Beat

The saying goes that every man and his dog now own an AI startup. But given the excitement around the birth of new startups that leverage AI, more are asking what the rules are being put in place to protect the rights of consumers and prevent harms.

Last year, the EU passed new legislation known as the AI Act as an attempt to codify some of these rules. Many of these general rules as well as the prohibitions have already kicked in in February 2025 so it helps to brush up on the Act’s key facts. This article briefly covers the main ideas behind the AI Act as well as the implications it has for US startups.

What is the AI Act? 

The AI Act is one of the world’s first major legal frameworks designed to regulate the use of artificial intelligence (AI) by businesses. The act seeks to “promote

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